Morse buys Delphis for up to £40m

Morse, the mid-range computer reseller, is beefing up its services capabilities with the acquisition of Delphis Holdings.

It is paying £15m upfront, 600K in cash and the rest in loan-notes and shares. Delphis could gain up to another £25m in loannotes and shares depending upon profits performance for the next three financial years.

Formed as a division of JHC PLC in 1993, Delphis was sold to management in 1998. It has 265 full-time staff of which 233 are fee earners. Delphis is headquartered in London and has annual sales of over £13m.

It reports operating profits, before acquisition expenses, of £2m for the year to 30 June 2000. The company retains its name but is to be integrated into Morse's professional services group. ®